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ISSN (online): 1805-9112

Research ArticleOpen access

Dynamics of Economic Growth and Household Income Distribution

Petar Parvanov1*iD

  1. South-West University "Neofit Rilski", Faculty of Economics, Blagoevgrad, Bulgaria

* Corresponding author: petarparvanov@swu.bg

Abstract

This research focused on the relationship between Gross Domestic Product (GDP) and household incomes in the Czech Republic in the period 2010 to 2022 was based on the need to understand how macroeconomic factors influence the standard of living during different phases of the economic cycle. The aim of this thesis was to evaluate the impact of GDP and other macroeconomic indicators such as inflation, unemployment, household expenditures, household net disposable income (HNDI) and average monthly pay on household income. Time series methods and regression analysis were used to identify the key factors influencing household income. The results revealed a strong dependence between GDP growth and household income, with household net disposable income emerging as the most significant factor. The study also highlighted the differing impacts of these factors during periods of economic growth and recession. The research was limited by the use of annual data and a focus on selected factors, providing opportunities for future analysis, encompassing more detailed data and a broader range of variables.

Keywords:GDPhousehold incomeshousehold expendituresregression analysiseconomic growthunemployment

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